Skip to main content

My sister is trustee to my 500 , 000 plus inheritance Both sisters serve to inherit ant the principle should I die .

Branford, CT |

Proceeds generated are more than 2 , 000 monthly , although I receive Andaman rest is reinvested . I cant help but feel there is a conflict on interest

Attorney Answers 4


  1. Best answer

    The trustee that invests the money and one day receives the remainder sometimes does have a conflict.
    For example-stocks can pay lousy dividends but appreciate greatly in value.
    Have an attorney review the investments to make sure you are being treated fairly.

    The answer given does not imply that an attorney-client relationship has been established and your best course of action is to have legal representation in this matter.


  2. This is not a questions that can be answered without further information. The answer depends to a large extent on the terms of the document creating the trust [trust agreement or will]. You should discuss this with a lawyer who has experience in trust and estate law.

    LEGAL DISCLAIMER Atty. Crown is licensed to practice law in Connecticut with an office in Rocky Hill. His phone number is 860-257-4330 and his email address is jlcrown@trustlawyer.com. This response is not legal advice and does not create an attorney/client relationship. This response is only a form of legal education. It is intended to only provide general information about the matter within the question. Oftentimes the question does not include significant and important facts and timelines that if known could significantly change the reply or make the reply unsuitable. Atty. Crown strongly advises the questioner to confer with an attorney in his or her state in order to ensure proper advice is received. By using this site you understand and agree that there is no attorney client relationship or confidentiality between you and the attorney responding. This site should not be used as a substitute for competent legal advice from a licensed attorney that practices in the subject area in your state, who is familiar with your specific facts and all of the circumstances and with whom you have an attorney client relationship. The law changes frequently and varies from state to state. The information and materials provided are general in nature, and may not apply to a specific factual or legal circumstance described in the question or omitted from the question. Circular 230 Disclaimer - Any information in this comment may not be used to eliminate or reduce penalties by the IRS or any other governmental agency.


  3. There are many things missing from your question that are necessary to point you in the right direction. For one, you have not specified whether you are allowed to receive principal as well as income from the trust, which on a trust that isn't intended to provide for your children also would usually be the case. If it is, then the amount of distributions may be arbitrary or improper, but the investment strategy cannot be challenged on growth vs. revenue portfolio. Also, I'm not sure what "Andaman" is supposed to be.

    As to your main question, it is a conflict of interest, but one that was intended by the settlor (creator-funder), which means it is not, in and of itself, grounds to request a change. Your sister, as trustee, is still bound to a fiduciary duty to execute the goals and requirements of the trust in a reasonable way, whatever they might be. If there is a strained relationship or you feel she is engaging in unethical conduct and not being fair to you, you are entitled to request a full accounting of the trust portfolio and her management actions, as well as to seek to remove her as trustee. However, in a situation where one sibling is managing the trust for another, the Court's review will hinge largely on the stated purpose of the trust as well as the unwritten backstory. If the trust was created this way because you are much younger and were a minor when the trust/will was drafted, distributions ought to be made generously. However, if evidence shows that the trust was created because of gambling or substance abuse issues, as two examples, the trustee would have a much longer leash.

    If you have serious concerns about mismanagement, you should bring a copy of the trust to an experienced estate planning attorney to discuss your options in further detail. Best of luck.

    Attorney Rosenberg is admitted to practice in Connecticut and Massachusetts, and currently practices in South-Central Connecticut with an emphasis on estate planning, elder law, probate, and tax matters. He may be contacted confidentially by email at Scott@ScottRosenbergLaw.com or by phone at (203) 871-3830. All correspondence through this website appears publicly, is not confidential, and does not create an attorney-client relationship between you and Atty. Rosenberg. Discretion should always be employed when posting personal information online. ~~~~~~~~~~~~~ All online content provided by Atty. Rosenberg on this and other websites is provided for general informational purposes only, and does not constitute legal advice. All content is general in nature. Attorneys are unable to ask the questions necessary to fully understand the legal issues faced by any particular poster. Postings and responses to questions only provide general insights on the topic discussed. They are not tailored to any reader’s specific situation, will not be accurate in all states, and are never updated or maintained to reflect changes in the law. No person should take action based on the information provided by anyone on Avvo.com or any other law-themed website without first consulting a local attorney with significant experience in your area of concern. Persuant to Circular 230, no online content may be used by any person to avoid taxes or penalties under the Internal Revenue Code.


  4. Potential conflicts of interest are inherent in many estate plans. The trustee is subject to a fiduciary standard and as long as she does not violate that, there is probably not much you can do.

    James Frederick

    ***Please be sure to mark if you find the answer "helpful" or a "best" answer. Thank you! I hope this helps. ***************************************** LEGAL DISCLAIMER I am licensed to practice law in the State of Michigan and have offices in Wayne and Ingham Counties. My practice is focused in the areas of estate planning and probate administration. I am ethically required to state that the above answer does not create an attorney/client relationship. These responses should be considered general legal education and are intended to provide general information about the question asked. Frequently, the question does not include important facts that, if known, could significantly change the answer. Information provided on this site should not be used as a substitute for competent legal advice from a licensed attorney that practices in your state. The law changes frequently and varies from state to state. If I refer to your state's laws, you should not rely on what I say; I just did a quick Internet search and found something that looked relevant that I hoped you would find helpful. You should verify and confirm any information provided with an attorney licensed in your state. I hope you our answer helpful!

Trusts topics

Top tips from attorneys

What others are asking

Questions?
An attorney can help.

Post a question and get free legal advice from attorneys.

Ask a Lawyer

- or -

Search for lawyers by reviews and ratings.

Find a Lawyer

Browse all legal topics